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Egypt is the highest administrative court lifts ban on Uber, Careem services

FILE PHOTO A man walks near a banner of the ride-sharing app Uber during a press conference in Cairo, Egypt, on 4 December 2018. REUTERS/Lena Masri

CAIRO (Reuters) – the egyptian supreme administrative court on Saturday lifted a ban on the actions taken by the ride-hailing companies Uber and Careem, which have faced fierce opposition from the traditional taxi drivers, a judicial source and his lawyer said.

A lower administrative court withdrew the licences of U.S.-based Uber and its main rival, the Dubai-based Careem, in March 2018 after 42 taxi drivers filed a lawsuit, with the argument of the apps were illegally using private cars as taxis, and were recorded as a call center and an internet company, respectively.

In April of last year, but the Cairo Court of Urgent Matters said the ruling should be suspended, and the two companies should be allowed to continue working until a final decision was taken by the Supreme Administrative Court, which accepted the companies on Saturday.

Uber facing repeated regulatory and legal setbacks around the world as a result of opposition from the traditional taxi’s. It is forced to stop a number of countries, including Denmark and Hungary.

The company has said Egypt is the largest market in the Middle East, with 157,000 drivers in 2017 and four million users since its launch there in 2014.

Last week, Uber reached an agreement with the Egyptian tax authorities to pay value added tax (VAT), which Careem said that it had to pay since March 2018.

Reporting by Haitham Ahmed; Writing by Yousef Saba; Editing by Helen Popper

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